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Ingwe Ada Angiating 2014 1 GIJC ZR 64 1 010 PDF
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Introduction
Nigeria’s popular literature has recently been replete with reports of spurts in
investment in manufacturing in the Free Trade Zone (FTZ) and environs of the
city, Calabar, located in the geographical south-eastern part of the country, and
classified under the South-South geo-political zone of Nigeria. This city region
serves as the incumbent capital of Cross River State. Formerly, it served as
capitals of Nigeria’s Southern Protectorate that was later joined with the
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Correspondence to: ingwe.richard@gmail.com
J. Geogr. Inst. Cvijic. 64(1) (93-109)
Cross River State Government functionaries are expressing excitement over the
advantages such as the supply contracts and jobs that would be spurned out of
this foreign investment which adds to the usual State Government annual
budgets, which was estimated at about NG=N= 151.3 billion –covering both
recurrent and capital expenditure- for fiscal 2013 for the sub-national region
(Cross River State Government, 2013). Ample scope is provided for this study
by several reasons two of which deserve immediate mention here. First, previous
reports in the academic and popular literature about Calabar region and its
environs as an economically backward region compared to other growing
regions in Nigeria (Omuta and Onokerhoraye, 1986). While the urban
characteristics of this ‘economic backwardness” translated into Calabar’s
description as a sleepy, small and dull town full of low-income-earning
government bureaucrats whose streets occasionally exhibited poor cars, mostly
the old-fashioned “beetle-design Volkswagen type” compared to most residents
of the neighbouring south-eastern city (Port Harcourt, Rivers State, where
petroleum oil and natural gas business has been vigorous since the late 1950s)
who drive expensive posh cars (Nigeria’s development-speak and conversations,
1980s-1990s).
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Objectives and organization: Nigeria’s FDI attraction strategy has been indicted
in the literature, as being dominated by FDI focusing on non-manufacturing
economic activities that tend to be of low outcomes or less beneficial for the
country, (te Velde, 2006). As a foundation for progressing towards studying and
understanding the way investment in Cross River State has increased recently
and differs from investment level in the region hitherto as well as those of other
parts of Nigeria, the general objective of this article is to contribute towards
understanding the recent/ongoing economic development dynamics in the sub-
national region. Therefore, we organize and present relevant and specific
materials for achieving specific objectives of this study, in sections, as follows.
We present some contextual social, economic, and environmental background
conditions of parts of the sub-national namely: Calabar urban region and its
environs. Then, we present essential features of the core-periphery model, one of
the classical regional development theories (body of ideas) applied by human
geographers and their cousins in the social sciences considered suitable for
understanding the ongoing spurt in investment in manufacturing in the sub-
national region.
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J. Geogr. Inst. Cvijic. 64(1) (93-109)
The huge quantities of Nigeria’s large deposits of proven fossil fuel, including
4635 million metric tones of oil equivalent (mtoe) of oil and 4497 mtoe of
natural gas (WRI et al, 2005: 201), among other energy resources (Adekeye,
2008: 18-23), have been extracted for export to earn an average of US$20 billion
annually since the 1970s (Adams, 1991) have not impacted positively on
Nigeria’s masses. Unfortunately, a disproportionately large part of these
earnings have been stolen by the country’s elite constituting less than one
percent of the population. Nigeria’s US$1 billion was reportedly stolen in 1978
by military dictators who reigned between 1976 and 1979. More recently,
another set of dictators –led by Sani Abacha- who reigned between 1993 and
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Ingwe, R. et al. - Investment-centred transitioning from agrarian-tourism economy…
1997 reportedly stole between US$ /5 billion and US$ 50 billion was (Lombardi
1986; Adams, 1991, Omojola, 2007: 20-35, Ribadu, 2009). These high level of
corruption and criminal acts have had consequences on the country’s social
sectors (health, education, among others) which were subjected to gross under-
funding and mass poverty (Babalola, 2007; Makanjuola, 2002; Fashina, 2002).
Besides, mediocrity, ineptitude, and destructive political contests for resources
for sharing have been pervasive in public policy (BussinessDay, 2011b) at
federal, 36 states and 774 Local Government Areas.
Figure 1: Nigeria’s 36 states and Federal Capital Territory projected from Africa
Sources: (1) http://www.worldofcultures.org/1024/africa/AfricaMaps/nigeria.gif; (2)
http://www.world-gazatteer.com.
Consequently, about 70.2 per cent and 90.8 per cent of the nation’s population
lived on less than US$1 per day and US$2 per day respectively in 1997 and
thereabout (WRI et al, 2005, Ingwe, 2009). Nigeria’s ranking on the socio-
economic scales has been poor: Its human development index (where the most
developed country was represented as “1”) was only 0.47. The nation’s human
poverty index (100 = highest rate of poverty) was only 35.1 in 2002. Although
the nation’s gross domestic product (GDP) was US$32,953 million in 2002 and
was the second largest in SSA, her GDP per capita PPP in 2002 was only
US$919 (12th largest in SSA) (WRI et al, 2005: 189-193). Recent business
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J. Geogr. Inst. Cvijic. 64(1) (93-109)
Drawing from insight to the region as recently provided (Ukwayi, Ingwe, and
Ojong, 2012), the region has an area of 472,704 square kilometers comprising
two Local Government Areas (Calabar Municipality, 194,274 square kilometers,
and Calabar South, 278,430 square kilometers. Increasing socio-economic
activities is pushing the statutory boundaries of Calabar region beyond the
foregoing confines. Reports of Nigeria’s 2006 census put the city region’s
population at 371,022 (i.e. Calabar Municipality; 179,392 and Calabar South;
191, 630 (Nigeria 2007). The city-region has a reputable political and economic
history in Nigeria. Its sea route and natural seaport potentials facilitated travel,
arrival and establishment of a European slave trade depot that contributed large
population of slaves from this part of the world to the global Trans-Atlantic
Slave Trade. These facilities encouraged trade in other commodities (oil palm
etc., between the Europeans and the Calabar (Efik) people. The region served as
the administrative capitals for the following political entities: Southern Nigeria
Protectorate, Nigeria as an amalgamation of Southern and Northern
Protectorates before the capital was moved to Lagos. Thereafter, it became the
capital of South Eastern State and currently Cross River State.
Figure 2: Nigeria showing study area: Cross River State –one of Nigeria’s 36 states where the
southern coastal Calabar city is capital, is shaded
Source: Ingwe et al, 2009.
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Ingwe, R. et al. - Investment-centred transitioning from agrarian-tourism economy…
For the past one decade and half, Calabar urban region has been the focus of the
establishment of strategic infrastructural assets covering many sectors, from
healthcare, education, agriculture, electricity, water, urban to rural
transportation. The development philosophy of these infrastructural programmes
is that their (re)generation in rural and urban areas engenders complementarity in
sub-national regional economies. The latter involves rural areas’ contributing
agricultural produce (food stuff, and raw materials for industrial manufacturing
thereby providing a foundation for the emerging urban industrial region. Calabar
urban infrastructural development started in the early 2000s with funding from
the Niger Delta Development Commission, NDDC, a Nigerian federal
parastatal, established by the federal government to fund development
programmes in the oil-rich Niger Delta. This ensured that most streets in the
urban centre that had gone into disrepair for decades since the 1980s were
reconstructed and renovated. More recently, from the late 2000s when Governor
Liyel Imoke’s administration was inaugurated on 29th May, 2007, additional
works began. Calabar benefited from most of the asphalting of a Cross River
State-wide closely knit road network of over 800 kilometres. The Imoke
administration is being perceived as having left an indelible foot-print on the
sands of time due to the way he pioneered rural development in Nigeria’s post-
independent era. Other major infrastructure programmes in Calabar and environs
include the Airport Bye-pass, the Tinapa Knowledge City, smartgovt and
Electronic Citizens Identification Scheme, Calabar International Convention
Centre and Hotel (CICC), International Gulf Course, Port-side industrial park,
Land Registration Reform and a host of housing estates. These infrastructural
development programmes provide the objects that have appealed to and attracted
investment inflow into Calabar urban region in particular and elsewhere in Cross
River State, in general (Daily Independent, 2013).
Since the dawn of the Fourth Republic (1999 to the present), the Cross River
State Government has been developing a tourism economy with Calabar city,
which serves as the hub of this sector (Ingwe, 2013a,b). Recent state government
policy of developing a national and international tourism destination in Cross
River State focuses on expanding the tourism facilities and capabilities of the
city and environs. TINAPA –an elite tourism project advertised as Africa’s
premier business and leisure (Africa’s warmest welcome) is a multibillion
NG=N= resort located in Odukpani Local Government Area north of Calabar
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J. Geogr. Inst. Cvijic. 64(1) (93-109)
Akpabuyo, another Local Government Area which shares borders with Calabar
city has been experiencing vigorous urbanization due to the increasing tourism
and increase in the visibility of Calabar and Cross River State’s tourism
activities. The tourism development policy focused on expenditure of public
resources to improve urban environmental sanitation and security above the
levels of rival 35 states and Federal Capital Territory of Nigeria has successfully
in attracting large populations from outside the city, region and country to
Calabar and the state (Cross River State Government, 2009). Calabar stadium
comprising a football arena with carrying capacity of about 40,000 located
within the city, the urban region has been hosting (inter)national regional and
local sports tourism events . Some of the notable events hosted the 1999 Junior
World (Football) Cup, 2009 Junior World Football Cup in October (November),
among others too numerous for listing here.
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Believers in the foregoing thesis by Friedmann (and Alonso) are perpetuating the
argument founded on contentions that the emergence of new centres/core areas
is a dynamic process determined by flows of innovation (technological trends)
and opening of industrial branches. This represents a dialectical relationship
between core and peripheral areas whereby over time there occurs reversals in
the statuses or positions of which area takes the position of the core or periphery
depending on the dynamic flows of innovation (technology and culture or branch
plants establishment) such that areas that either fail or slow down their
innovativeness are overtaken by those who are actively engaging in the practice.
Put differently, this includes downgrading of a former core region to a peripheral
one and vice versa. Silesia, a former centre of national economic activity due to
its commanding position in heavy industrial manufacturing in Fordist Poland is
cited as a region that was experiencing decline due to the structural dysfunctions
observed there thus descending towards peripheralisation (Szajnowska-
Wysocka, 1999a, 2005).
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Conclusion
The core-periphery theory has been used for elucidating on the challenges of
sub-national regional development strategizing in Cross River State, one of
Nigeria’s 36 states –statutorily endowed with political sovereignty equivalent to
that of the country’s federal government in terms of planning and managing its
own development programmes and projects. Further research to increase
understanding of this subject shall proceed based on the need for empirically
assessing the level of performance of the Cross River State Government in
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attracting FDI (size) –and comparison of the foregoing with other counterpart
Nigerian states. Findings on the latter study –nearly completed by this author -
shall be published shortly (Ingwe, 2014b). Similarly, an analysis of the
associated political and geographic dynamics related to the extent to which the
application of FDI for development bodes with principles of equilibrium –or
otherwise- in balancing development levels among autonomous regions has also
been completed and shall also be published shortly (Ingwe, 2014c).
Acknowledgement
The authors gratefully acknowledges the Centre for Research and Action on Developing Locales,
Regions and the Environment (CRADLE) for funding the research programme on sustainable
(sub)national regional development from which this article was prepared. Thanks are due to two
anonymous reviewers whose useful suggestions led to improvement of the original manuscript.
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